This form is designed to help you determine an hourly rate for your services. It can be used by financial planners in all pricing models, whether you charge by the hour, charge by assets under management or charge by the project. Your time is your most important expense so an hourly rate can help you determine if a project or a client adds value to your practice based on objective criteria.
Fill in all the YELLOW fields. The form does all the calculations.
The form is designed only for a sole practice. It is not intended for planners in group practices.
To ensure a realistic outcome, the form assumes that you begin with your income from the last year with perhaps an incremental increase. That figure should include the revenue generated by the owner including fees, commissions and trailers.
If you charge for the services of staff members, such as a paraplanner, deduct the gross income from that source from the expense category labeled "Paraplanner support" or "Administrative support."
Target Pre-tax Income (net income before taxes)
Office and Furnishings
Technology & Communication
Travel and Entertainment
Billable Hours Calculation
Work Hours per Year (hrs/wk)
Sick Time (days/yr)
Administrative Time (hrs/wk)
Marketing Time (hrs/wk)
Prof. Activities (hrs/wk)
Total Billable Hours
Break Even Hourly Rate
Total Expenses/Total Billable Hours
Target Pre-tax Income Hourly Rate
(Target Income + Total Expenses)/Total Billable Hours
Hourly Rate for Attorneys
Hourly Rate for Accountants
Hourly Rate for Financial Advisors
Average of Market Rates
Hourly Rate for Income Target
Hourly Rate for Break-even
to help successful
Carriage Trade Experience
for their clients
The Purposeful Planning Institute has asked John to discuss Anticipating Client Life Events on May 21 at noon Eastern. To join The Purposeful Planning Institute or inquire about the discussion, send a note to: firstname.lastname@example.org